China reportedly pressured US companies to adopt the country’s digital currency.
According to the Financial Times report, China is pressuring McDonald’s to adopt a central bank digital currency (CBDC). The fast food giant has already started testing digital renminbi in Shanghai. However, the Chinese government wants McDonald’s to make it possible to pay with CBDC at all its locations across the country ahead of the Winter Olympics in Beijing, which begins in early February.
According to the report, several other major US companies, such as Nike and Visa, are facing similar pressure. The inclusion of these brands will help China support the adoption of the controversial digital currency, which has faced a lot of criticism due to privacy concerns.
Unlike Bitcoin, the digital yuan is fully controlled by the government. That is, the government can at any time block transactions and even eliminate them. Alex Gladstein, chief strategy officer of the Human Rights Foundation, believes the digital yuan will be used as a tool to increase surveillance: